(a) ADDITIONAL SECURITIES.
(1) 1Article IX, Section 17, of the Constitution
of 1885, as amended, as it existed immediately before this Constitution,
as revised in 1968, became effective, is adopted by this reference
as a part of this revision as completely as though incorporated
herein verbatim, except revenue bonds, revenue certificates
or other evidences of indebtedness hereafter issued thereunder
may be issued by the agency of the state so authorized by law.
(2) That portion of 2Article XII, Section 9, Subsection
(a) of this Constitution, as amended, which by reference adopted
3Article XII, Section 19 of the Constitution of 1885, as amended,
as the same existed immediately before the effective date of
this amendment is adopted by this reference as part of this
revision as completely as though incorporated herein verbatim,
for the purpose of providing that after the effective date of
this amendment all of the proceeds of the revenues derived from
the gross receipts taxes, as therein defined, collected in each
year shall be applied as provided therein to the extent necessary
to comply with all obligations to or for the benefit of holders
of bonds or certificates issued before the effective date of
this amendment or any refundings thereof which are secured by
such gross receipts taxes. No bonds or other obligations may
be issued pursuant to the provisions of 3Article XII, Section
19, of the Constitution of 1885, as amended, but this provision
shall not be construed to prevent the refunding of any such
outstanding bonds or obligations pursuant to the provisions
of this subsection (a)(2).
Subject to the requirements of the first paragraph of this
subsection (a)(2), beginning July 1, 1975, all of the proceeds
of the revenues derived from the gross receipts taxes collected
from every person, including municipalities, as provided and
levied pursuant to the provisions of chapter 203, Florida Statutes,
as such chapter is amended from time to time, shall, as collected,
be placed in a trust fund to be known as the "public education
capital outlay and debt service trust fund" in the state treasury
(hereinafter referred to as "capital outlay fund"), and used
only as provided herein.
The capital outlay fund shall be administered by the state
board of education as created and constituted by Section 2 of
Article IX of the Constitution of Florida as revised in 1968
(hereinafter referred to as "state board"), or by such other
instrumentality of the state which shall hereafter succeed by
law to the powers, duties and functions of the state board,
including the powers, duties and functions of the state board
provided in this subsection (a)(2). The state board shall be
a body corporate and shall have all the powers provided herein
in addition to all other constitutional and statutory powers
related to the purposes of this subsection (a)(2) heretofore
or hereafter conferred by law upon the state board, or its predecessor
created by the Constitution of 1885, as amended.
State bonds pledging the full faith and credit of the state
may be issued, without a vote of the electors, by the state
board pursuant to law to finance or refinance capital projects
theretofore authorized by the legislature, and any purposes
appurtenant or incidental thereto, for the state system of public
education provided for in Section 1 of Article IX of this Constitution
(hereinafter referred to as "state system"), including but not
limited to institutions of higher learning, community colleges,
vocational technical schools, or public schools, as now defined
or as may hereafter be defined by law. All such bonds shall
mature not later than thirty years after the date of issuance
thereof. All other details of such bonds shall be as provided
by law or by the proceedings authorizing such bonds; provided,
however, that no bonds, except refunding bonds, shall be issued,
and no proceeds shall be expended for the cost of any capital
project, unless such project has been authorized by the legislature.
Bonds issued pursuant to this subsection (a)(2) shall be primarily
payable from such revenues derived from gross receipts taxes,
and shall be additionally secured by the full faith and credit
of the state. No such bonds shall ever be issued in an amount
exceeding ninety percent of the amount which the state board
determines can be serviced by the revenues derived from the
gross receipts taxes accruing thereafter under the provisions
of this subsection (a)(2), and such determination shall be conclusive.
The moneys in the capital outlay fund in each fiscal year
shall be used only for the following purposes and in the following
order of priority:
a. For the payment of the principal of and interest
on any bonds due in such fiscal year;
b. For the deposit into any reserve funds provided
for in the proceedings authorizing the issuance of bonds of
any amounts required to be deposited in such reserve funds in
such fiscal year;
c. For direct payment of the cost or any part of the
cost of any capital project for the state system theretofore
authorized by the legislature, or for the purchase or redemption
of outstanding bonds in accordance with the provisions of the
proceedings which authorized the issuance of such bonds, or
for the purpose of maintaining, restoring, or repairing existing
public educational facilities.
(b) REFUNDING BONDS. Revenue bonds to finance the cost
of state capital projects issued prior to the date this revision
becomes effective, including projects of the Florida state turnpike
authority or its successor but excluding all portions of the
state highway system, may be refunded as provided by law without
vote of the electors at a lower net average interest cost rate
by the issuance of bonds maturing not later than the obligations
refunded, secured by the same revenues only.
(c) MOTOR VEHICLE FUEL TAXES.
(1) A state tax, designated "second gas tax," of two
cents per gallon upon gasoline and other like products of petroleum
and an equivalent tax upon other sources of energy used to propel
motor vehicles as levied by 4Article IX, Section 16, of the
Constitution of 1885, as amended, is hereby continued. The proceeds
of said tax shall be placed monthly in the state roads distribution
fund in the state treasury.
(2) 4Article IX, Section 16, of the Constitution of
1885, as amended, is adopted by this reference as a part of
this revision as completely as though incorporated herein verbatim
for the purpose of providing that after the effective date of
this revision the proceeds of the "second gas tax" as referred
to therein shall be allocated among the several counties in
accordance with the formula stated therein to the extent necessary
to comply with all obligations to or for the benefit of holders
of bonds, revenue certificates and tax anticipation certificates
or any refundings thereof secured by any portion of the "second
gas tax."
(3) No funds anticipated to be allocated under the
formula stated in 4Article IX, Section 16, of the Constitution
of 1885, as amended, shall be pledged as security for any obligation
hereafter issued or entered into, except that any outstanding
obligations previously issued pledging revenues allocated under
said 4Article IX, Section 16, may be refunded at a lower average
net interest cost rate by the issuance of refunding bonds, maturing
not later than the obligations refunded, secured by the same
revenues and any other security authorized in paragraph (5)
of this subsection.
(4) Subject to the requirements of paragraph (2) of
this subsection and after payment of administrative expenses,
the "second gas tax" shall be allocated to the account of each
of the several counties in the amounts to be determined as follows:
There shall be an initial allocation of one-fourth in the ratio
of county area to state area, one-fourth in the ratio of the
total county population to the total population of the state
in accordance with the latest available federal census, and
one-half in the ratio of the total "second gas tax" collected
on retail sales or use in each county to the total collected
in all counties of the state during the previous fiscal year.
If the annual debt service requirements of any obligations issued
for any county, including any deficiencies for prior years,
secured under paragraph (2) of this subsection, exceeds the
amount which would be allocated to that county under the formula
set out in this paragraph, the amounts allocated to other counties
shall be reduced proportionately.
5(5) Funds allocated under paragraphs (2)
and (4) of this subsection shall be administered by the state
board of administration created under said 4Article IX, Section
16, of the Constitution of 1885, as amended, and which is continued
as a body corporate for the life of this subsection (9)(c).
The board shall remit the proceeds of the "second gas tax" in
each county account for use in said county as follows: eighty
per cent to the state agency supervising the state road system
and twenty per cent to the governing body of the county. The
percentage allocated to the county may be increased by general
law. The proceeds of the "second gas tax" subject to allocation
to the several counties under this paragraph (5) shall be used
first, for the payment of obligations pledging revenues allocated
pursuant to 4Article IX, Section 16, of the Constitution of
1885, as amended, and any refundings thereof; second, for the
payment of debt service on bonds issued as provided by this
paragraph (5) to finance the acquisition and construction of
roads as defined by law; and third, for the acquisition and
construction of roads and for road maintenance as authorized
by law. When authorized by law, state bonds pledging the full
faith and credit of the state may be issued without any election:
(i) to refund obligations secured by any portion of the "second
gas tax" allocated to a county under 4Article IX, Section 16,
of the Constitution of 1885, as amended; (ii) to finance the
acquisition and construction of roads in a county when approved
by the governing body of the county and the state agency supervising
the state road system; and (iii) to refund obligations secured
by any portion of the "second gas tax" allocated under paragraph
9(c)(4). No such bonds shall be issued unless a state fiscal
agency created by law has made a determination that in no state
fiscal year will the debt service requirements of the bonds
and all other bonds secured by the pledged portion of the "second
gas tax" allocated to the county exceed seventy-five per cent
of the pledged portion of the "second gas tax" allocated to
that county for the preceding state fiscal year, of the pledged
net tolls from existing facilities collected in the preceding
state fiscal year, and of the annual average net tolls anticipated
during the first five state fiscal years of operation of new
projects to be financed, and of any other legally available
pledged revenues collected in the preceding state fiscal year.
Bonds issued pursuant to this subsection shall be payable primarily
from the pledged tolls, the pledged portions of the "second
gas tax" allocated to that county, and any other pledged revenue,
and shall mature not later than forty years from the date of
issuance.
(d) SCHOOL BONDS.
(1) 6Article XII, Section 9, Subsection (d) of this
constitution, as amended, (which, by reference, adopted 7Article
XII, Section 18, of the Constitution of 1885, as amended) as
the same existed immediately before the effective date of this
amendment is adopted by this reference as part of this amendment
as completely as though incorporated herein verbatim, for the
purpose of providing that after the effective date of this amendment
the first proceeds of the revenues derived from the licensing
of motor vehicles as referred to therein shall be distributed
annually among the several counties in the ratio of the number
of instruction units in each county, the same being coterminus
with the school district of each county as provided in Article
IX, Section 4, Subsection (a) of this constitution, in each
year computed as provided therein to the extent necessary to
comply with all obligations to or for the benefit of holders
of bonds or motor vehicle tax anticipation certificates issued
before the effective date of this amendment or any refundings
thereof which are secured by any portion of such revenues derived
from the licensing of motor vehicles.
(2) No funds anticipated to be distributed annually
among the several counties under the formula stated in 6Article
XII, Section 9, Subsection (d) of this constitution, as amended,
as the same existed immediately before the effective date of
this amendment shall be pledged as security for any obligations
hereafter issued or entered into, except that any outstanding
obligations previously issued pledging such funds may be refunded
by the issuance of refunding bonds.
(3) Subject to the requirements of paragraph (1) of
this subsection (d) beginning July 1, 1973, the first proceeds
of the revenues derived from the licensing of motor vehicles
(hereinafter called "motor vehicle license revenues") to the
extent necessary to comply with the provisions of this amendment,
shall, as collected, be placed monthly in the school district
and community college district capital outlay and debt service
fund in the state treasury and used only as provided in this
amendment. Such revenue shall be distributed annually among
the several school districts and community college districts
in the ratio of the number of instruction units in each school
district or community college district in each year computed
as provided herein. The amount of the first motor vehicle license
revenues to be so set aside in each year and distributed as
provided herein shall be an amount equal in the aggregate to
the product of six hundred dollars ($600) multiplied by the
total number of instruction units in all the school districts
of Florida for the school fiscal year 1967-68, plus an amount
equal in the aggregate to the product of eight hundred dollars
($800) multiplied by the total number of instruction units in
all the school districts of Florida for the school fiscal year
1972-73 and for each school fiscal year thereafter which is
in excess of the total number of such instruction units in all
the school districts of Florida for the school fiscal year 1967-68,
such excess units being designated "growth units." The amount
of the first motor vehicle license revenues to be so set aside
in each year and distributed as provided herein shall additionally
be an amount equal in the aggregate to the product of four hundred
dollars ($400) multiplied by the total number of instruction
units in all community college districts of Florida. The number
of instruction units in each school district or community college
district in each year for the purposes of this amendment shall
be the greater of (1) the number of instruction units in each
school district for the school fiscal year 1967-68 or community
college district for the school fiscal year 1968-69 computed
in the manner heretofore provided by general law, or (2) the
number of instruction units in such school district, including
growth units, or community college district for the school fiscal
year computed in the manner heretofore or hereafter provided
by general law and approved by the state board of education
(hereinafter called the state board), or (3) the number of instruction
units in each school district, including growth units, or community
college district on behalf of which the state board has issued
bonds or motor vehicle license revenue anticipation certificates
under this amendment which will produce sufficient revenues
under this amendment to equal one and twelve-hundredths (1.12)
times the aggregate amount of principal of and interest on all
bonds or motor vehicle license revenue anticipation certificates
issued under this amendment which will mature and become due
in such year, computed in the manner heretofore or hereafter
provided by general law and approved by the state board.
(4) Such funds so distributed shall be administered
by the state board as now created and constituted by Section
2 of Article IX of the State Constitution as revised in 1968,
or by such other instrumentality of the state which shall hereafter
succeed by law to the powers, duties and functions of the state
board, including the powers, duties and functions of the state
board provided in this amendment. For the purposes of this amendment,
said state board shall be a body corporate and shall have all
the powers provided in this amendment in addition to all other
constitutional and statutory powers related to the purposes
of this amendment heretofore or hereafter conferred upon said
state board.
(5) The state board shall, in addition to its other
constitutional and statutory powers, have the management, control
and supervision of the proceeds of the first motor vehicle license
revenues provided for in this subsection (d). The state board
shall also have power, for the purpose of obtaining funds for
the use of any school board of any school district or board
of trustees of any community college district in acquiring,
building, constructing, altering, remodeling, improving, enlarging,
furnishing, equipping, maintaining, renovating, or repairing
of capital outlay projects for school purposes to issue bonds
or motor vehicle license revenue anticipation certificates,
and also to issue such bonds or motor vehicle license revenue
anticipation certificates to pay, fund or refund any bonds or
motor vehicle license revenue anticipation certificates theretofore
issued by said state board. All such bonds or motor vehicle
license revenue anticipation certificates shall bear interest
at not exceeding the rate provided by general law and shall
mature not later than thirty years after the date of issuance
thereof. The state board shall have power to determine all other
details of the bonds or motor vehicle license revenue anticipation
certificates and to sell in the manner provided by general law,
or exchange the bonds or motor vehicle license revenue anticipation
certificates, upon such terms and conditions as the state board
shall provide.
(6) The state board shall also have power to pledge
for the payment of the principal of and interest on such bonds
or motor vehicle license revenue anticipation certificates,
including refunding bonds or refunding motor vehicle license
revenue anticipation certificates, all or any part from the
motor vehicle license revenues provided for in this amendment
and to enter into any covenants and other agreements with the
holders of such bonds or motor vehicle license revenue anticipation
certificates at the time of the issuance thereof concerning
the security thereof and the rights of the holders thereof,
all of which covenants and agreements shall constitute legally
binding and irrevocable contracts with such holders and shall
be fully enforceable by such holders in any court of competent
jurisdiction.
(7) No such bonds or motor vehicle license revenue
anticipation certificates shall ever be issued by the state
board, except to refund outstanding bonds or motor vehicle license
revenue anticipation certificates, until after the adoption
of a resolution requesting the issuance thereof by the school
board of the school district or board of trustees of the community
college district on behalf of which the obligations are to be
issued. The state board of education shall limit the amount
of such bonds or motor vehicle license revenue anticipation
certificates which can be issued on behalf of any school district
or community college district to ninety percent (90%) of the
amount which it determines can be serviced by the revenue accruing
to the school district or community college district under the
provisions of this amendment, and shall determine the reasonable
allocation of the interest savings from the issuance of refunding
bonds or motor vehicle license revenue anticipation certificates,
and such determinations shall be conclusive. All such bonds
or motor vehicle license revenue anticipation certificates shall
be issued in the name of the state board of education but shall
be issued for and on behalf of the school board of the school
district or board of trustees of the community college district
requesting the issuance thereof, and no election or approval
of qualified electors shall be required for the issuance thereof.
(8) The state board shall in each year use the funds
distributable pursuant to this amendment to the credit of each
school district or community college district only in the following
manner and in order of priority:
a. To comply with the requirements of paragraph (1)
of this subsection (d).
b. To pay all amounts of principal and interest due
in such year on any bonds or motor vehicle license revenue anticipation
certificates issued under the authority hereof, including refunding
bonds or motor vehicle license revenue anticipation certificates,
issued on behalf of the school board of such school district
or board of trustees of such community college district; subject,
however, to any covenants or agreements made by the state board
concerning the rights between holders of different issues of
such bonds or motor vehicle license revenue anticipation certificates,
as herein authorized.
c. To establish and maintain a sinking fund or funds
to meet future requirements for debt service or reserves therefor,
on bonds or motor vehicle license revenue anticipation certificates
issued on behalf of the school board of such school district
or board of trustees of such community college district under
the authority hereof, whenever the state board shall deem it
necessary or advisable, and in such amounts and under such terms
and conditions as the state board shall in its discretion determine.
d. To distribute annually to the several school boards
of the school districts or the boards of trustees of the community
college districts for use in payment of debt service on bonds
heretofore or hereafter issued by any such school boards of
the school districts or boards of trustees of the community
college districts where the proceeds of the bonds were used,
or are to be used, in the acquiring, building, constructing,
altering, remodeling, improving, enlarging, furnishing, equipping,
maintaining, renovating, or repairing of capital outlay projects
in such school districts or community college districts and
which capital outlay projects have been approved by the school
board of the school district or board of trustees of the community
college district, pursuant to the most recent survey or surveys
conducted under regulations prescribed by the state board to
determine the capital outlay needs of the school district or
community college district. The state board shall have power
at the time of issuance of any bonds by any school board of
any school district or board of trustees of any community college
district to covenant and agree with such school board or board
of trustees as to the rank and priority of payments to be made
for different issues of bonds under this subparagraph d., and
may further agree that any amounts to be distributed under this
subparagraph d. may be pledged for the debt service on bonds
issued by any school board of any school district or board of
trustees of any community college district and for the rank
and priority of such pledge. Any such covenants or agreements
of the state board may be enforced by any holders of such bonds
in any court of competent jurisdiction.
e. To pay the expenses of the state board in administering
this subsection (d), which shall be prorated among the various
school districts and community college districts and paid out
of the proceeds of the bonds or motor vehicle license revenue
anticipation certificates or from the funds distributable to
each school district and community college district on the same
basis as such motor vehicle license revenues are distributable
to the various school districts and community college districts.
f. To distribute annually to the several school boards
of the school districts or boards of trustees of the community
college districts for the payment of the cost of acquiring,
building, constructing, altering, remodeling, improving, enlarging,
furnishing, equipping, maintaining, renovating, or repairing
of capital outlay projects for school purposes in such school
district or community college district as shall be requested
by resolution of the school board of the school district or
board of trustees of the community college district.
g. When all major capital outlay needs of a school
district or community college district have been met as determined
by the state board, on the basis of a survey made pursuant to
regulations of the state board and approved by the state board,
all such funds remaining shall be distributed annually and used
for such school purposes in such school district or community
college district as the school board of the school district
or board of trustees of the community college district shall
determine, or as may be provided by general law.
(9) Capital outlay projects of a school district or
community college district shall be eligible to participate
in the funds accruing under this amendment and derived from
the proceeds of bonds and motor vehicle license revenue anticipation
certificates and from the motor vehicle license revenues, only
in the order of priority of needs, as shown by a survey or surveys
conducted in the school district or community college district
under regulations prescribed by the state board, to determine
the capital outlay needs of the school district or community
college district and approved by the state board; provided that
the priority of such projects may be changed from time to time
upon the request of the school board of the school district
or board of trustees of the community college district and with
the approval of the state board; and provided, further, that
this paragraph (9) shall not in any manner affect any covenant,
agreement or pledge made by the state board in the issuance
by said state board of any bonds or motor vehicle license revenue
anticipation certificates, or in connection with the issuance
of any bonds of any school board of any school district or board
of trustees of any community college district.
(10) The state board shall have power to make and enforce
all rules and regulations necessary to the full exercise of
the powers herein granted and no legislation shall be required
to render this amendment of full force and operating effect.
The legislature shall not reduce the levies of said motor vehicle
license revenues during the life of this amendment to any degree
which will fail to provide the full amount necessary to comply
with the provisions of this amendment and pay the necessary
expenses of administering the laws relating to the licensing
of motor vehicles, and shall not enact any law having the effect
of withdrawing the proceeds of such motor vehicle license revenues
from the operation of this amendment and shall not enact any
law impairing or materially altering the rights of the holders
of any bonds or motor vehicle license revenue anticipation certificates
issued pursuant to this amendment or impairing or altering any
covenant or agreement of the state board, as provided in such
bonds or motor vehicle license revenue anticipation certificates.
(11) Bonds issued by the state board pursuant to this
subsection (d) shall be payable primarily from said motor vehicle
license revenues as provided herein, and if heretofore or hereafter
authorized by law, may be additionally secured by pledging the
full faith and credit of the state without an election. When
heretofore or hereafter authorized by law, bonds issued pursuant
to 7Article XII, Section 18 of the Constitution of 1885, as
amended prior to 1968, and bonds issued pursuant to Article
XII, Section 9, subsection (d) of the Constitution as revised
in 1968, and bonds issued pursuant to this subsection (d), may
be refunded by the issuance of bonds additionally secured by
the full faith and credit of the state.
(e) DEBT LIMITATION. Bonds issued pursuant to this
Section 9 of Article XII which are payable primarily from revenues
pledged pursuant to this section shall not be included in applying
the limits upon the amount of state bonds contained in Section
11, Article VII, of this revision.
History.--Am. H.J.R. 1851, 1969; adopted 1969; Am.
C.S. for S.J.R. 292, 1972, and Am. C.S. for H.J.R. 3576, 1972;
adopted 1972; Am. C.S. for H.J.R.'s 2289, 2984, 1974; adopted
1974; Am. S.J.R. 824, 1980; adopted 1980; Am. S.J.R. 1157, 1984;
adopted 1984; Am. proposed by Taxation and Budget Reform Commission,
Revision No. 1, 1992, filed with the Secretary of State May
7, 1992; adopted 1992; Am. S.J.R. 2-H, 1992; adopted 1992; Am.
proposed by Constitution Revision Commission, Revision No. 8,
1998, filed with the Secretary of State May 5, 1998; adopted
1998.
1Note.--Section 17 of Art. IX of the Constitution
of 1885, as amended, reads as follows:
SECTION 17. Bonds; land acquisition for outdoor recreation
development.--The outdoor recreational development council,
as created by the 1963 legislature, may issue revenue bonds,
revenue certificates or other evidences of indebtedness to acquire
lands, water areas and related resources and to construct, improve,
enlarge and extend capital improvements and facilities thereon
in furtherance of outdoor recreation, natural resources conservation
and related facilities in this state; provided, however, the
legislature with respect to such revenue bonds, revenue certificates
or other evidences of indebtedness shall designate the revenue
or tax sources to be deposited in or credited to the land acquisition
trust fund for their repayment and may impose restrictions on
their issuance, including the fixing of maximum interest rates
and discounts.
The land acquisition trust fund, created by the 1963 legislature
for these multiple public purposes, shall continue from the
date of the adoption of this amendment for a period of fifty
years.
In the event the outdoor recreational development council
shall determine to issue bonds for financing acquisition of
sites for multiple purposes the state board of administration
shall act as fiscal agent, and the attorney general shall handle
the validation proceedings.
All bonds issued under this amendment shall be sold at public
sale after public advertisement upon such terms and conditions
as the outdoor recreational development council shall provide
and as otherwise provided by law and subject to the limitations
herein imposed.
History.--S.J.R. 727, 1963; adopted 1963.
2Note.--Prior to its amendment by C.S. for
H.J.R.'s 2289, 2984, 1974, subsection (a) read as follows:
(a) ADDITIONAL SECURITIES. Article IX, Section 17,
of the Constitution of 1885, as amended, as it existed immediately
before this Constitution, as revised in 1968, became effective,
is adopted by this reference as a part of this revision as completely
as though incorporated herein verbatim, except revenue bonds,
revenue certificates or other evidences of indebtedness hereafter
issued thereunder may be issued by the agency of the state so
authorized by law.
Article XII, Section 19, of the Constitution of 1885,
as amended, as it existed immediately before this revision becomes
effective, is adopted by this reference as a part of this revision
as completely as though incorporated herein verbatim, except
bonds or tax anticipation certificates hereafter issued thereunder
may bear interest not in excess of five percent (5%) per annum
or such higher interest as may be authorized by statute passed
by a three-fifths (3/5) vote of each house of the legislature.
No revenue bonds or tax anticipation certificates shall be issued
pursuant thereto after June 30, 1975.
3Note.--Section 19 of Art. XII of the Constitution
of 1885, as amended, reads as follows:
SECTION 19. Institutions of higher learning and junior
college capital outlay trust fund bonds.--
(a) That beginning January 1, 1964, and for fifty years
thereafter, all of the proceeds of the revenues derived from
the gross receipts taxes collected from every person, including
municipalities, receiving payment for electricity for light,
heat or power, for natural or manufactured gas for light, heat
or power, for use of telephones and for the sending of telegrams
and telegraph messages, as now provided and levied as of the
time of adoption of this amendment in Chapter 203, Florida Statutes
(hereinafter called "Gross Receipts Taxes"), shall, as collected
be placed in a trust fund to be known as the "Institutions of
Higher Learning and Junior Colleges Capital Outlay and Debt
Service Trust Fund" in the State Treasury (hereinafter referred
to as "Capital Outlay Fund"), and used only as provided in this
Amendment.
Said fund shall be administered by the State Board of Education,
as now created and constituted by Section 3 of Article XII [now
s. 2, Article IX] of the Constitution of Florida (hereinafter
referred to as "State Board"). For the purpose of this Amendment,
said State Board, as now constituted, shall continue as a body
corporate during the life of this Amendment and shall have all
the powers provided in this Amendment in addition to all other
constitutional and statutory powers related to the purposes
of this Amendment heretofore or hereafter conferred by law upon
said State Board.
(b) The State Board shall have power, for the purpose
of obtaining funds for acquiring, building, constructing, altering,
improving, enlarging, furnishing or equipping capital outlay
projects theretofore authorized by the legislature and any purposes
appurtenant or incidental thereto, for Institutions of Higher
Learning or Junior Colleges, as now defined or as may be hereafter
defined by law, and for the purpose of constructing buildings
and other permanent facilities for vocational technical schools
as provided in chapter 230 Florida Statutes, to issue bonds
or certificates, including refunding bonds or certificates to
fund or refund any bonds or certificates theretofore issued.
All such bonds or certificates shall bear interest at not exceeding
four and one-half per centum per annum, and shall mature at
such time or times as the State Board shall determine not exceeding,
in any event, however, thirty years from the date of issuance
thereof. The State Board shall have power to determine all other
details of such bonds or certificates and to sell at public
sale, after public advertisement, such bonds or certificates,
provided, however, that no bonds or certificates shall ever
be issued hereunder to finance, or the proceeds thereof expended
for, any part of the cost of any capital outlay project unless
the construction or acquisition of such capital outlay project
has been theretofore authorized by the Legislature of Florida.
None of said bonds or certificates shall be sold at less than
ninety-eight per centum of the par value thereof, plus accrued
interest, and said bonds or certificates shall be awarded at
the public sale thereof to the bidder offering the lowest net
interest cost for such bonds or certificates in the manner to
be determined by the State Board.
The State Board shall also have power to pledge for the payment
of the principal of and interest on such bonds or certificates,
and reserves therefor, including refunding bonds or certificates,
all or any part of the revenue to be derived from the said Gross
Receipts Taxes provided for in this Amendment, and to enter
into any covenants and other agreements with the holders of
such bonds or certificates concerning the security thereof and
the rights of the holders thereof, all of which covenants and
agreements shall constitute legally binding and irrevocable
contracts with such holders and shall be fully enforceable by
such holders in any court of competent jurisdiction.
No such bonds or certificates shall ever be issued by the
State Board in an amount exceeding seventy-five per centum of
the amount which it determines, based upon the average annual
amount of the revenues derived from said Gross Receipts Taxes
during the immediately preceding two fiscal years, or the amount
of the revenues derived from said Gross Receipts Taxes during
the immediately preceding fiscal year, as shown in a certificate
filed by the State Comptroller with the State Board prior to
the issuance of such bonds or certificates, whichever is the
lesser, can be serviced by the revenues accruing thereafter
under the provisions of this Amendment; nor shall the State
Board, during the first year following the ratification of this
amendment, issue bonds or certificates in excess of seven times
the anticipated revenue from said Gross Receipts Taxes during
said year, nor during each succeeding year, more than four times
the anticipated revenue from said Gross Receipts Taxes during
such year. No election or approval of qualified electors or
freeholder electors shall be required for the issuance of bonds
or certificates hereunder.
After the initial issuance of any bonds or certificates pursuant
to this Amendment, the State Board may thereafter issue additional
bonds or certificates which will rank equally and on a parity,
as to lien on and source of security for payment from said Gross
Receipts Taxes, with any bonds or certificates theretofore issued
pursuant to this Amendment, but such additional parity bonds
or certificates shall not be issued unless the average annual
amount of the revenues derived from said Gross Receipts Taxes
during the immediately preceding two fiscal years, or the amount
of the revenues derived from said Gross Receipts Taxes during
the immediately preceding fiscal year, as shown in a certificate
filed by the State Comptroller with the State Board prior to
the issuance of such bonds or certificates, whichever is the
lesser, shall have been equal to one and one-third times the
aggregate amount of principal and interest which will become
due in any succeeding fiscal year on all bonds or certificates
theretofore issued pursuant to this Amendment and then outstanding,
and the additional parity bonds or certificates then proposed
to be issued. No bonds, certificates or other obligations whatsoever
shall at any time be issued under the provisions of this Amendment,
except such bonds or certificates initially issued hereunder,
and such additional parity bonds or certificates as provided
in this paragraph. Notwithstanding any other provision herein
no such bonds or certificates shall be authorized or validated
during any biennium in excess of fifty million dollars, except
by two-thirds vote of the members elected to each house of the
legislature; provided further that during the biennium 1963-1965
seventy-five million dollars may be authorized and validated
pursuant hereto.
(c) Capital outlay projects theretofore authorized
by the legislature for any Institution of Higher Learning or
Junior College shall be eligible to participate in the funds
accruing under this Amendment derived from the proceeds of bonds
or certificates and said Gross Receipts Taxes under such regulations
and in such manner as shall be determined by the State Board,
and the State Board shall use or transmit to the State Board
of Control or to the Board of Public Instruction of any County
authorized by law to construct or acquire such capital outlay
projects, the amount of the proceeds of such bonds or certificates
or Gross Receipts Taxes to be applied to or used for such capital
outlay projects. If for any reason any of the proceeds of any
bonds or certificates issued for any capital outlay project
shall not be expended for such capital outlay project, the State
Board may use such unexpended proceeds for any other capital
outlay project for Institutions of Higher Learning or Junior
Colleges and vocational technical schools, as defined herein,
as now defined or as may be hereafter defined by law, theretofore
authorized by the State Legislature. The holders of bonds or
certificates issued hereunder shall not have any responsibility
whatsoever for the application or use of any of the proceeds
derived from the sale of said bonds or certificates, and the
rights and remedies of the holders of such bonds or certificates
and their right to payment from said Gross Receipts Taxes in
the manner provided herein shall not be affected or impaired
by the application or use of such proceeds.
The State Board shall use the moneys in said Capital Outlay
Fund in each fiscal year only for the following purposes and
in the following order of priority:
(1) For the payment of the principal of and interest
on any bonds or certificates maturing in such fiscal year.
(2) For the deposit into any reserve funds provided
for in the proceedings authorizing the issuance of said bonds
or certificates, of any amounts required to be deposited in
such reserve funds in such fiscal year.
(3) After all payments required in such fiscal year
for the purposes provided for in (1) and (2) above, including
any deficiencies for required payments in prior fiscal years,
any moneys remaining in said Capital Outlay Fund at the end
of such fiscal year may be used by the State Board for direct
payment of the cost or any part of the cost of any capital outlay
project theretofore authorized by the legislature or for the
purchase of any bonds or certificates issued hereunder then
outstanding upon such terms and conditions as the State Board
shall deem proper, or for the prior redemption of outstanding
bonds or certificates in accordance with the provisions of the
proceedings which authorized the issuance of such bonds or certificates.
The State Board may invest the moneys in said Capital Outlay
Fund or in any sinking fund or other funds created for any issue
of bonds or certificates, in direct obligations of the United
States of America or in the other securities referred to in
Section 344.27, Florida Statutes
(c) The said board shall annually use said funds in
each county account, first, to pay current principal and interest
maturing, if any, of said bonds and gasoline or other fuel tax
anticipation certificates of such county or special road and
bridge district, or other special taxing district thereof; second,
to establish a sinking fund account to meet future requirements
of said bonds and gasoline or other fuel tax anticipation certificates
where it appears the anticipated income for any year or years
will not equal scheduled payments thereon; and third, any remaining
balance out of the proceeds of said two (2¢) cents of said taxes
shall monthly during the year be remitted by said board as follows:
Eighty (80%) per cent to the State Road Department for the construction
or reconstruction of state roads and bridges within the county,
or for the lease or purchase of bridges connecting state highways
within the county, and twenty (20%) per cent to the Board of
County Commissioners of such county for use on roads and bridges
therein.
(d) The State Board shall have the power to make and
enforce all rules and regulations necessary to the full exercise
of the powers herein granted and no legislation shall be required
to render this Amendment of full force and operating effect
on and after January 1, 1964. The Legislature, during the period
this Amendment is in effect, shall not reduce the rate of said
Gross Receipts Taxes now provided in said Chapter 203, Florida
Statutes, or eliminate, exempt or remove any of the persons,
firms or corporations, including municipal corporations, or
any of the utilities, businesses or services now or hereafter
subject to said Gross Receipts Taxes, from the levy and collection
of said Gross Receipts Taxes as now provided in said Chapter
203, Florida Statutes, and shall not enact any law impairing
or materially altering the rights of the holders of any bonds
or certificates issued pursuant to this Amendment or impairing
or altering any covenants or agreements of the State Board made
hereunder, or having the effect of withdrawing the proceeds
of said Gross Receipts Taxes from the operation of this Amendment.
The State Board of Administration shall be and is hereby constituted
as the Fiscal Agent of the State Board to perform such duties
and assume such responsibilities under this Amendment as shall
be agreed upon between the State Board and such State Board
of Administration. The State Board shall also have power to
appoint such other persons and fix their compensation for the
administration of the provisions of this Amendment as it shall
deem necessary, and the expenses of the State Board in administering
the provisions of this Amendment shall be paid out of the proceeds
of bonds or certificates issued hereunder or from said Gross
Receipts Taxes deposited in said Capital Outlay Fund.
(e) No capital outlay project or any part thereof shall
be financed hereunder unless the bill authorizing such project
shall specify it is financed hereunder and shall be approved
by a vote of three-fifths of the elected members of each house.
History.--S.J.R. 264, 1963; adopted 1963.
4Note.--Section 16 of Art. IX of the Constitution
of 1885, as amended, reads as follows:
SECTION 16. Board of administration; gasoline and like
taxes, distribution and use; etc.--
(a) That beginning January 1st, 1943, and for fifty
(50) years thereafter, the proceeds of two (2¢) cents per gallon
of the total tax levied by state law upon gasoline and other
like products of petroleum, now known as the Second Gas Tax,
and upon other fuels used to propel motor vehicles, shall as
collected be placed monthly in the 'State Roads Distribution
Fund' in the State Treasury and divided into three (3) equal
parts which shall be distributed monthly among the several counties
as follows: one part according to area, one part according to
population, and one part according to the counties' contributions
to the cost of state road construction in the ratio of distribution
as provided in Chapter 15659, Laws of Florida, Acts of 1931,
and for the purposes of the apportionment based on the counties'
contributions for the cost of state road construction, the amount
of the contributions established by the certificates made in
1931 pursuant to said Chapter 15659, shall be taken and deemed
conclusive in computing the monthly amounts distributable according
to said contributions. Such funds so distributed shall be administered
by the State Board of Administration as hereinafter provided.
(b) The Governor as chairman, the State Treasurer,
and the State Comptroller shall constitute a body corporate
to be known as the 'State Board of Administration,' which board
shall succeed to all the power, control and authority of the
statutory Board of Administration. Said Board shall have, in
addition to such powers as may be conferred upon it by law,
the management, control and supervision of the proceeds of said
two (2¢) cents of said taxes and all moneys and other assets
which on the effective date of this amendment are applicable
or may become applicable to the bonds of the several counties
of this state, or any special road and bridge district, or other
special taxing district thereof, issued prior to July 1st, 1931,
for road and bridge purposes. The word 'bonds' as used herein
shall include bonds, time warrants, notes and other forms of
indebtedness issued for road and bridge purposes by any county
or special road and bridge district or other special taxing
district, outstanding on July 1st, 1931, or any refunding issues
thereof. Said Board shall have the statutory powers of Boards
of County Commissioners and Bond Trustees and of any other authority
of special road and bridge districts, and other special taxing
districts thereof with regard to said bonds, (except that the
power to levy ad valorem taxes is expressly withheld from said
Board), and shall take over all papers, documents and records
concerning the same. Said Board shall have the power from time
to time to issue refunding bonds to mature within the said fifty
(50) year period, for any of said outstanding bonds or interest
thereon, and to secure them by a pledge of anticipated receipts
from such gasoline or other fuel taxes to be distributed to
such county as herein provided, but not at a greater rate of
interest than said bonds now bear; and to issue, sell or exchange
on behalf of any county or unit for the sole purpose of retiring
said bonds issued by such county, or special road and bridge
district, or other special taxing district thereof, gasoline
or other fuel tax anticipation certificates bearing interest
at not more than three (3) per cent per annum in such denominations
and maturing at such time within the fifty (50) year period
as the board may determine. In addition to exercising the powers
now provided by statute for the investment of sinking funds,
said Board may use the sinking funds created for said bonds
of any county or special road and bridge district, or other
unit hereunder, to purchase the matured or maturing bonds participating
herein of any other county or any other special road and bridge
district, or other special taxing district thereof, provided
that as to said matured bonds, the value thereof as an investment
shall be the price paid therefor, which shall not exceed the
par value plus accrued interest, and that said investment shall
bear interest at the rate of three (3) per cent per annum.
(c) The said board shall annually use said funds in
each county account, first, to pay current principal and interest
maturing, if any, of said bonds and gasoline or other fuel tax
anticipation certificates of such county or special road and
bridge district, or other special taxing district thereof; second,
to establish a sinking fund account to meet future requirements
of said bonds and gasoline or other fuel tax anticipation certificates
where it appears the anticipated income for any year or years
will not equal scheduled payments thereon; and third, any remaining
balance out of the proceeds of said two (2¢) cents of said taxes
shall monthly during the year be remitted by said board as follows:
Eighty (80%) per cent to the State Road Department for the construction
or reconstruction of state roads and bridges within the county,
or for the lease or purchase of bridges connecting state highways
within the county, and twenty (20%) per cent to the Board of
County Commissioners of such county for use on roads and bridges
therein.
(d) Said board shall have the power to make and enforce
all rules and regulations necessary to the full exercise of
the powers hereby granted and no legislation shall be required
to render this amendment of full force and operating effect
from and after January 1st, 1943. The Legislature shall continue
the levies of said taxes during the life of this Amendment,
and shall not enact any law having the effect of withdrawing
the proceeds of said two (2¢) cents of said taxes from the operation
of this amendment. The board shall pay refunding expenses and
other expenses for services rendered specifically for, or which
are properly chargeable to, the account of any county from funds
distributed to such county; but general expenses of the board
for services rendered all the counties alike shall be prorated
among them and paid out of said funds on the same basis said
tax proceeds are distributed among the several counties; provided,
report of said expenses shall be made to each Regular Session
of the Legislature, and the Legislature may limit the expenses
of the board.
History.--Added, S.J.R. 324, 1941; adopted 1942.
5Note.--Section 24(a), Art. XII, State Constitution,
provides for the amendment to s. 9(c)(5), Art. XII, State Constitution,
by Revision No. 8 (1998) to take effect January 7, 2003. As
amended by Revision No. 8 (1998), effective January 7, 2003,
s. 9(c)(5), Art. XII, State Constitution, will read:
(5) Funds allocated under paragraphs (2) and (4) of
this subsection shall be administered by the state board of
administration created under Article IV, Section 4. The board
shall remit the proceeds of the "second gas tax" in each county
account for use in said county as follows: eighty per cent to
the state agency supervising the state road system and twenty
per cent to the governing body of the county. The percentage
allocated to the county may be increased by general law. The
proceeds of the "second gas tax" subject to allocation to the
several counties under this paragraph (5) shall be used first,
for the payment of obligations pledging revenues allocated pursuant
to 4Article IX, Section 16, of the Constitution of 1885, as
amended, and any refundings thereof; second, for the payment
of debt service on bonds issued as provided by this paragraph
(5) to finance the acquisition and construction of roads as
defined by law; and third, for the acquisition and construction
of roads and for road maintenance as authorized by law. When
authorized by law, state bonds pledging the full faith and credit
of the state may be issued without any election: (i) to refund
obligations secured by any portion of the "second gas tax" allocated
to a county under 4Article IX, Section 16, of the Constitution
of 1885, as amended; (ii) to finance the acquisition and construction
of roads in a county when approved by the governing body of
the county and the state agency supervising the state road system;
and (iii) to refund obligations secured by any portion of the
"second gas tax" allocated under paragraph 9(c)(4). No such
bonds shall be issued unless a state fiscal agency created by
law has made a determination that in no state fiscal year will
the debt service requirements of the bonds and all other bonds
secured by the pledged portion of the "second gas tax" allocated
to the county exceed seventy-five per cent of the pledged portion
of the "second gas tax" allocated to that county for the preceding
state fiscal year, of the pledged net tolls from existing facilities
collected in the preceding state fiscal year, and of the annual
average net tolls anticipated during the first five state fiscal
years of operation of new projects to be financed, and of any
other legally available pledged revenues collected in the preceding
state fiscal year. Bonds issued pursuant to this subsection
shall be payable primarily from the pledged tolls, the pledged
portions of the "second gas tax" allocated to that county, and
any other pledged revenue, and shall mature not later than forty
years from the date of issuance.
6Note.--Prior to its amendment by C.S. for
H.J.R. 3576, 1972, subsection (d) read as follows:
(d) SCHOOL BONDS. Article XII, Section 18, of the Constitution
of 1885, as amended, as it existed immediately before this revision
becomes effective is adopted by this reference as part of this
revision as completely as though incorporated herein verbatim,
except bonds or tax anticipation certificates hereafter issued
thereunder may bear interest not in excess of five per cent
per annum or such higher interest as may be authorized by statute
passed by a three-fifths vote of each house of the legislature.
Bonds issued pursuant to this subsection (d) shall be payable
primarily from revenues as provided in Article XII, Section
18, of the Constitution of 1885, as amended, and if authorized
by law, may be additionally secured by pledging the full faith
and credit of the state without an election. When authorized
by law, bonds issued pursuant to Article XII, Section 18, of
the Constitution of 1885, as amended, and bonds issued pursuant
to this subsection (d), may be refunded by the issuance of bonds
additionally secured by the full faith and credit of the state
only at a lower net average interest cost rate.
7Note.--Section 18, Art. XII of the Constitution
of 1885, as amended, reads as follows:
SECTION 18. School bonds for capital outlay, issuance.--
(a) Beginning January 1, 1965 and for thirty-five years
thereafter, the first proceeds of the revenues derived from
the licensing of motor vehicles to the extent necessary to comply
with the provisions of this amendment, shall, as collected,
be placed monthly in the county capital outlay and debt service
school fund in the state treasury, and used only as provided
in this amendment. Such revenue shall be distributed annually
among the several counties in the ratio of the number of instruction
units in each county in each year computed as provided herein.
The amount of the first revenues derived from the licensing
of motor vehicles to be so set aside in each year and distributed
as provided herein shall be an amount equal in the aggregate
to the product of four hundred dollars multiplied by the total
number of instruction units in all the counties of Florida.
The number of instruction units in each county in each year
for the purposes of this amendment shall be the greater of (1)
the number of instruction units in each county for the school
fiscal year 1951-52 computed in the manner heretofore provided
by general law, or (2) the number of instruction units in such
county for the school fiscal year computed in the manner heretofore
or hereafter provided by general law and approved by the state
board of education (hereinafter called the state board), or
(3) the number of instruction units in each county on behalf
of which the state board of education has issued bonds or motor
vehicle tax anticipation certificates under this amendment which
will produce sufficient revenues under this amendment to equal
one and one-third times the aggregate amount of principal of
and interest on such bonds or motor vehicle tax anticipation
certificates which will mature and become due in such year,
computed in the manner heretofore or hereafter provided by general
law and approved by the state board. Such funds so distributed
shall be administered by the state board as now created and
constituted by Section 3 of Article XII [now s. 2, Article IX]
of the Constitution of Florida. For the purposes of this amendment,
said state board, as now constituted, shall continue as a body
corporate during the life of this amendment and shall have all
the powers provided in this amendment in addition to all other
constitutional and statutory powers related to the purposes
of this amendment heretofore or hereafter conferred upon said
board.
(b) The state board shall, in addition to its other
constitutional and statutory powers, have the management, control
and supervision of the proceeds of the first part of the revenues
derived from the licensing of motor vehicles provided for in
subsection (a). The state board shall also have power, for the
purpose of obtaining funds for the use of any county board of
public instruction in acquiring, building, constructing, altering,
improving, enlarging, furnishing, or equipping capital outlay
projects for school purposes, to issue bonds or motor vehicle
tax anticipation certificates, and also to issue such bonds
or motor vehicle tax anticipation certificates to pay, fund
or refund any bonds or motor vehicle tax anticipation certificates
theretofore issued by said state board. All such bonds shall
bear interest at not exceeding four and one-half per centum
per annum and shall mature serially in annual installments commencing
not more than three years from the date of issuance thereof
and ending not later than thirty years from the date of issuance
or January 1, 2000, A.D., whichever is earlier. All such motor
vehicle tax anticipation certificates shall bear interest at
not exceeding four and one-half per centum per annum and shall
mature prior to January 1, 2000, A.D.
The state board shall have power to determine all other details
of said bonds or motor vehicle tax anticipation certificates
and to sell at public sale after public advertisement, or exchange
said bonds or motor vehicle tax anticipation certificates, upon
such terms and conditions as the state board shall provide.
The state board shall also have power to pledge for the payment
of the principal of and interest on such bonds or motor vehicle
tax anticipation certificates, including refunding bonds or
refunding motor vehicle tax anticipation certificates, all or
any part from the anticipated revenues to be derived from the
licensing of motor vehicles provided for in this amendment and
to enter into any covenants and other agreements with the holders
of such bonds or motor vehicle tax anticipation certificates
at the time of the issuance thereof concerning the security
thereof and the rights of the holders thereof, all of which
covenants and agreements shall constitute legally binding and
irrevocable contracts with such holders and shall be fully enforceable
by such holders in any court of competent jurisdiction.
No such bonds or motor vehicle tax anticipation certificates
shall ever be issued by the state board until after the adoption
of a resolution requesting the issuance thereof by the county
board of public instruction of the county on behalf of which
such obligations are to be issued. The state board of education
shall limit the amount of such bonds or motor vehicle tax anticipation
certificates which can be issued on behalf of any county to
seventy-five per cent of the amount which it determines can
be serviced by the revenue accruing to the county under the
provisions of this amendment, and such determination shall be
conclusive. All such bonds or motor vehicle tax anticipation
certificates shall be issued in the name of the state board
of education but shall be issued for and on behalf of the county
board of public instruction requesting the issuance thereof,
and no election or approval of qualified electors or freeholders
shall be required for the issuance thereof.
(c) The State Board shall in each year use the funds
distributable pursuant to this Amendment to the credit of each
county only in the following manner and order of priority:
(1) To pay all amounts of principal and interest maturing
in such year on any bonds or motor vehicle tax anticipation
certificates issued under the authority hereof, including refunding
bonds or motor vehicle tax anticipation certificates, issued
on behalf of the Board of Public Instruction of such county;
subject, however, to any covenants or agreements made by the
State Board concerning the rights between holders of different
issues of such bonds or motor vehicle tax anticipation certificates,
as herein authorized.
(2) To establish and maintain a sinking fund or funds
to meet future requirements for debt service, or reserves therefor,
on bonds or motor vehicle tax anticipation certificates issued
on behalf of the Board of Public Instruction of such county,
under the authority hereof, whenever the State Board shall deem
it necessary or advisable, and in such amounts and under such
terms and conditions as the State Board shall in its discretion
determine.
(3) To distribute annually to the several Boards of
Public Instruction of the counties for use in payment of debt
service on bonds heretofore or hereafter issued by any such
Board where the proceeds of the bonds were used, or are to be
used, in the construction, acquisition, improvement, enlargement,
furnishing, or equipping of capital outlay projects in such
county, and which capital outlay projects have been approved
by the Board of Public Instruction of the county, pursuant to
a survey or surveys conducted subsequent to July 1, 1947 in
the county, under regulations prescribed by the State Board
to determine the capital outlay needs of the county.
The State Board shall have power at the time of issuance of
any bonds by any Board of Public Instruction to covenant and
agree with such Board as to the rank and priority of payments
to be made for different issues of bonds under this Subsection
(3), and may further agree that any amounts to be distributed
under this Subsection (3) may be pledged for the debt service
on bonds issued by any Board of Public Instruction and for the
rank and priority of such pledge. Any such covenants or agreements
of the State Board may be enforced by any olders of such bonds
in any court of competent jurisdiction.
(4) To distribute annually to the several Boards of
Public Instruction of the counties for the payment of the cost
of the construction, acquisition, improvement, enlargement,
furnishing, or equipping of capital outlay projects for school
purposes in such county as shall be requested by resolution
of the County Board of Public Instruction of such county.
(5) When all major capital outlay needs of a county
have been met as determined by the State Board, on the basis
of a survey made pursuant to regulations of the State Board
and approved by the State Board, all such funds remaining shall
be distributed annually andused for such school purposes in
such county as the Board of Public Instruction of the county
shall determine, or as may be provided by general law.
(d) Capital outlay projects of a county shall be eligible
to participate in the funds accruing under this Amendment and
derived from the proceeds of bonds and motor vehicle tax anticipation
certificates and from the motor vehicle license taxes, only
in the order of priority of needs, as shown by a survey or surveys
conducted in the county under regulations prescribed by the
State Board, to determine the capital outlay needs of the county
and approved by the State Board; provided, that the priority
of such projects may be changed from time to time upon the request
of the Board of Public Instruction of the county and with the
approval of the State Board; and provided further, that this
Subsection (d) shall not in any manner affect any covenant,
agreement, or pledge made by the State Board in the issuance
by said State Board of any bonds or motor vehicle tax anticipation
certificates, or in connection with the issuance of any bonds
of any Board of Public Instruction of any county.
(e) The State Board may invest any sinking fund or funds
created pursuant to this Amendment in direct obligations of
the United States of America or in the bonds or motor vehicle
tax anticipation certificates, matured or to mature, issued
by the State Board on behalf of the Board of Public Instruction
of any county.
(f) The State Board shall have power to make and enforce
all rules and regulations necessary to the full exercise of
the powers herein granted and no legislation shall be required
to render this Amendment of full force and operating effect
from and after January 1, 1953. The Legislature shall not reduce
the levies of said motor vehicle license taxes during the life
of this Amendment to any degree which will fail to provide the
full amount necessary to comply with the provisions of this
Amendment and pay the necessary expenses of administering the
laws relating to the licensing of motor vehicles, and shall
not enact any law having the effect of withdrawing the proceeds
of such motor vehicle license taxes from the operation of this
Amendment and shall not enact any law impairing or materially
altering the rights of the holders of any bonds or motor vehicle
tax anticipation certificates issued pursuant to this Amendment
or impairing or altering any covenant or agreement of the State
Board, as provided in such bonds or motor vehicle tax anticipation
certificates.
The State Board shall have power to appoint such persons and
fix their compensation for the administration of the provisions
of this Amendment as it shall deem necessary, and the expenses
of the State Board in administering the provisions of this Amendment
shall be prorated among the various counties and paid out of
the proceeds of the bonds or motor vehicle tax anticipation
certificates or from the funds distributable to each county
on the same basis as such motor vehicle license taxes are distributable
to the various counties under the provisions of this Amendment.
Interest or profit on sinking fund investments shall accrue
to the counties in proportion to their respective equities in
the sinking fund or funds.
History.--Added, S.J.R. 106, 1951; adopted 1952; (a), (b)
Am. S.J.R. 218, 1963; adopted 1964
